Financial help in preparing renewables projects at the pre-planning stage could boost the potential benefits to communities from green energy production, Ministers said today.

Addressing the Scottish Low Carbon Investment Conference in Edinburgh, Richard Lochhead Cabinet Secretary for Rural Affairs said: "It is vital that Scotland can unlock the huge potential this country has for the local ownership of energy production which could reap such great community benefits.

"As well as examining the potential of offshore energy production, we are supporting communities and rural enterprises in ensuring they reap the advantages already available to them onshore.

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"That is why today I have made a report available which outlines the initial business case for a pre-planning loan fund which would help communities investigate the potential of local energy projects and take them to the planning stage."

He continued: "There is potential for nearly 900 MW of electricity being produced from wind turbines at some 340 sites, about 23 MW of hydropower and about 800 MW of biomass heating capacity across 460 installations. On the heat side alone, this equates to a 300 per cent increase on the 155 small and medium scale systems currently operating in Scotland.

"The scope to enhance revenue to communities and landowners is equally significant with one 2.5 MW turbine providing a net return of £4.8 million over a 20 year period."

"This Government is determined that communities should share in the opportunities opening up before us and we will be consulting shortly on a range of options to ensure these benefits are secured for the people of Scotland," he said.

(GK)